Callahan Company Consists of Two Divisions, Northern and Southern

question 81

Multiple Choice

Callahan Company consists of two divisions, Northern and Southern. During 2014, many of the accounting records were destroyed in a fire. The managing director has asked the accountant for information relating to 2014. The following information is available to the accountant.
In addition, the contribution margin ratio for both divisions was the same. What were the common fixed costs (z) during 2014?

• A) $130 000
• B) $45 000
• C) $70 000
• D) $65 000

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Definitions:

Soft Money

Funds raised by political parties that are not regulated by federal campaign law, often used for general party-building activities.

Independent Expenditures

Political spending by individuals or organizations on campaign messages that are not coordinated with any candidate's campaign.

PAC Money

Funds collected by Political Action Committees (PACs) that are used to finance election campaigns and influence political legislation.

Business PACs

Political Action Committees that represent business interests, typically raising funds to support candidates or legislation favorable to those interests.